Is elementary school tuition abroad a taxable income?
I am working abroad for a one of US gov private contractors (financial consulting). My employer pays tuition for my child's private elementary school so she can continue her education in English while we residing abroad. My employer didn't report that amount in my W2. I qualify for a foreign income exclusion. I am making more then that exclusion. Is the tuition payment considered to be my taxable income? If yes where should I report it and how it is taxed? I do my taxes myself, but this tuition benefit is new to me. This benefit is included in the contract and is paid by my employer directly to the school.
Public Comments
- absolutely not
- Dear lil: Great question, first time I have heard this. A couple things to look at, Fulbright awards for teaching are taxable unless you claim the foreign exclusion. Therefore you may also to exclude the tuition. If the employer pays the school directly you are probably not required to report. If the employer pays you directly he will acconut for the money in your W2 or if not required in your W2 he will leave it out. Also if this benefit is included in your contract it maybe considered a fringe benefit. This advice was prepared based on our understanding of the tax law in effect at the time it was written as it applies to the facts that you provide. Click on my profile to read more. Errol Quinn Enrolled Agent Master Tax Advisor
